Looking for a side hustle? You could have the perfect one in the form of your home.
January can be a tough time of year financially. Many of us have to go close to six weeks between paydays, and the excess of Christmas spending can hit hard. One way to counteract could be to set up a side hustle, and the answer to extra cash could be a lot closer to home than you think.
Yep, those very walls and roof that keeps you warm and safe of an evening could also be a source of income. More and more people are turning to their abode to generate extra income, so we’ve rounded up five of the best ways in which you could do the same.
1. Hire out your home to holidaymakers
If you have periods of time when you aren’t staying in it, you could be making better use by hiring it out to someone else. There are now a number of sites that enable you to offer your home up to everyone from visiting business professionals to holiday-making families.
If you don’t fancy hiring out your entire home, but you’ve got a spare room, you could get a lodger. The Rent-a-Room Scheme lets you earn up to a threshold of £7,500 per year tax-free from letting out furnished accommodation in your home, which means a lodger could have a significant financial benefit.
Having someone live with you does come with other positives, but also a few pitfalls as well (read over the pros and cons). We’d suggest taking all these considerations into account before deciding whether it’s something that’s right for you.
3. Have a clearout
It isn’t just your home that is a source of income, but the clutter accumulating could be too. You can sell everything from clothes to furniture on sites like eBay and Gumtree, not only clearing out some space but earning yourself funds in the process.
You can also sell everything in bulk at car boot sales, which can be a fun day out as well. Car Boot Junction is a great tool for not only finding a sale near you but for advice on fees, facilities and much more.
4. Rent out your car parking space
If you live in - or near - a commuter-friendly area, your car parking space could be a goldmine. You can use sites like JustPark or Yourparkingspace to find people to rent out your space to, tailoring availability to your own needs. The first £1000 you earn annually is tax-free as well.
Do you live near a concert venue or sporting ground? Car parking spaces near these can make even more money; Anfield and Goodison Park, the football grounds for Liverpool and Everton, can make up to £25 for 2 hours.
5. Get a Secured Loan or Remortgage
If you’re looking to raise significant extra funds, then a secured loan could be an option. It means you can borrow money and use your property as collateral, which lessens the risk for the lender.
Secured loans can come with benefits that unsecured loans don’t always, for examples you may be able to borrow more money over a longer period of time, potentially with a lower interest rate - it will all depend on your terms. To be eligible for a secured loan, you need to have some equity in your property (or already own it outright).
Remortgaging is different to a secured loan, in that it sees you switching your mortgage provider, which can save you money over time dependent on the terms agreed with your current lender. Unsure if this is the right process for you? Find out more here.
Remember to consider these options carefully, as they involve getting into debt rather than creating new income, so it should be viewed in the same way you would go into any borrowing arrangement. Always remember to only borrow what you can afford to pay back, as if you default on your payments, you run the risk of your home being repossessed.